Microsoft has revealed new details about the future of its gaming hardware, confirming that prototype development kits for its next-generation Xbox will be sent to game developers in 2027.

The announcement was made by Jason Ronald, Vice President of Next Generation at Xbox, during a session at the Game Developers Conference in San Francisco.

Speaking at the conference, Ronald said the company plans to send alpha versions of the next-generation console, currently known by the codename Project Helix, to developers starting in 2027.

These early prototypes, often called development kits, allow studios to test games on upcoming hardware before its official launch.

The dev kits act as test consoles, giving developers a preview of the system’s capabilities so they can optimize their games for the final product.

Launch timeline still unclear

Microsoft did not confirm the official release date for the next-generation console.

However, the planned shipment of developer kits in 2027 has fueled speculation that the new Xbox could launch later in 2027 or sometime in 2028.

Industry observers note that factors such as ongoing memory shortages and the time developers need to prepare games may influence the final launch schedule.

Built in partnership with AMD

The upcoming console is being co-developed with chipmaker AMD.

Last month, AMD’s CEO also hinted that the new hardware could arrive around 2027, aligning with Microsoft’s development timeline.

Ronald added that the two companies are designing custom silicon not only for the console but also for other gaming hardware.

Major performance gains expected

Ray Tracing and AI Upscaling

Although Microsoft shared limited technical details, Ronald highlighted several areas where the new console will improve performance:

Enhanced ray tracing for more realistic lighting and reflections
AI-powered upscaling to deliver higher frame rates
Improved compression technology to load complex textures faster

These upgrades aim to significantly boost gaming visuals and overall performance.

Advanced GPU Workloads

The console will also use AMD’s Work Graphs API, allowing the graphics processor to handle more rendering tasks.

According to Ronald, this approach will reduce CPU bottlenecks and allow the GPU to generate workloads in real time, enabling large-scale simulations and more detailed environments in games.

Microsoft also emphasized its goal of creating one common platform for gaming across multiple devices.

The same technologies being developed for the console could also appear in:

AMD’s future discrete graphics cards
Cloud gaming infrastructure
Handheld gaming devices

Ronald said the aim is to make it easier for developers to optimize games for consoles, PCs, handhelds, and cloud platforms.

Microsoft reiterated that the next-generation Xbox will support both Xbox games and PC titles, further blurring the line between platforms.

The company believes the traditional labels of “console gamer,” “PC gamer,” or “mobile gamer” are becoming less relevant as players increasingly use multiple devices.

As part of this strategy, Microsoft also revealed that the “Xbox Mode” feature, previously limited to Windows 11 gaming handhelds, will expand to Windows PCs next month.